As an initial public offering remains bleak and the U.S. government seeks to recoup some $17 billion in bailout money, Ally Financial is weighing the sale of all or part of its auto lending and banking businesses, according to sources familiar with the situation.…

Rising prices and a focus on repairing credit scores may have kept consumers out of dealerships for some time, but there seems to be hope on the horizon.

Yesterday, Comerica Bank revealed the best auto affordability reading since the third quarter of 2009.The purchase and financing of an average-priced new vehicle took 23.1 weeks of median family income in 4Q11. Consumers on average spent $1,050 less on new cars in the fourth quarter, down 4% from last year.

“Auto affordability…

A feeling of optimism was alive and well during the recent National Automobile Dealers Association Convention held in Las Vegas, where Ally Financial surveyed dealers about their hopes for sales in 2012. 

Nearly half of dealers surveyed expect their sales to increase 10% to 20% this year, and almost another third are even more bullish, expecting sales to grow greater than 20%.

Nearly 75% of dealers surveyed expect consumer confidence to be the key in sustaining sales momentum,…

Is Chrysler looking to structure its own captive again? Just this week, we heard about Volvo's announcement to form Volvo Car Financial Services through a financing partnership with Bank of America. Today, The Wall Street Journal is talking about the possibility of Chrysler heading down a similar path. 

Chrysler, which gave up Chrysler Financial…